Bangkok, 3 August 2020 – SEC has revoked the approval for an investment consultant named Mr. Sorrapon Poolsukkho on account of committing wrongful acts against an investor’s asset. In this regard, he failed to deliver the unit-linked life insurance premium of a client to the chosen life insurance company as intended by the client and used the premium money for his own benefit instead, causing the client’s life insurance policy to be ineffective. SEC has also prohibited Sorrapon from performing duties as capital market business personnel for five years, effective from 4 August 2020. At the time of the offense, he was working for AIA Co., Ltd.
According to AIA’s
inspection report and SEC’s further investigation, it was found that Sorrapon
received the unit-linked life insurance premium from the
client but did not forward the premium money to the company as originally intended
by the client. Instead, he used the money for his own benefit. As a result, the
client’s life insurance policy became ineffective and the client suffered
damage at the amount of 20,000 baht.
SEC has considered
that Sorrapon failed to perform duties with loyalty* by committing wrongful acts
against the investor’s asset, which was deemed a prohibited characteristic of
capital market business personnel. SEC has therefore revoked his approval as
investment consultant for plain instruments** and prohibited him from
performing duties as capital market business personnel for a period of five
years, starting from 4 August 2020.
In case of deciding to buy an investment product at a place which is
not the service provider’s office, investors are advised to avoid making a cash
payment and transferring money to a personal account of the serving investment
consultant. Investors should make payments via payment channels and methods specified
by the service provider, for example, direct transfer to the service provider’s
account or electronic payment receipt channel. In any case, temporary payment receipt
slip must be kept as evidence every time a payment is made to reduce the chance
of potential damage.
__________________________
*
Pursuant to Clause 23(1) and the prohibited characteristics of personnel in the
capital market business under Clause 31(1) of the Notification of the
Capital Market Supervisory Board No. Tor Lor Thor. 8/2557 Re: Rules on
Personnel in the Capital Market Business dated 3 June 2014, as amended by
the Notification of the Capital Market Supervisory Board No. Tor Lor Thor.
48/2560 Re: Rules on Personnel in the Capital Market Business (No. 7) dated
30 August 2017.
** An investment consultant for plain
instruments is allowed to give advice to investors regarding capital market
products with non-complex features.